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What Statistical Technique Allows You to Equalize Initial Differences Between

question 9

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What statistical technique allows you to equalize initial differences between groups on a related variable that you wish to control for?


Definitions:

Expected Utility

A theory in economics that predicts how individuals make choices under conditions of uncertainty to maximize their satisfaction.

Probability

A measure of the likelihood that a certain event will occur, often expressed as a number between 0 and 1.

Risk-averse

The tendency of individuals to prefer certainty over uncertainty, valuing predictable outcomes over those that are uncertain.

Auto Insurance

A policy purchased by vehicle owners to mitigate costs associated with getting into an auto accident, covering liabilities such as injury and property damage.

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